HOUSE BILL REPORT

ESHB 1737

As Amended by the Senate

BYHouse Committee on Appropriations (originally sponsored by Representatives H. Sommers, Locke and Appelwick; by request of Department of Labor and Industries)

Revising provisions for crime victims' compensation.

House Committe on Appropriations

Majority Report:  The substitute bill be substituted therefor and the substitute bill do pass.  (23)

      Signed by Representatives Locke, Chair; Grant, Vice Chair; H. Sommers, Vice Chair; Youngsman, Assistant Ranking Republican Member; Appelwick, Belcher, Bowman, Braddock, Brekke, Brough, Dorn, Doty, Ebersole, Ferguson, May, McLean, Nealey, Padden, Rust, Spanel, Sprenkle, Valle and Wang.

House Staff:Dave Knutson (786-7136)

AS PASSED HOUSE APRIL 18, 1989 AND APRIL 24, 1989

BACKGROUND:

The Crime Victim's Compensation Program is administered by the Department of Labor and Industries.  It provides benefits to crime victims pursuant to standards set under the Worker's Compensation statute.  The program currently pays victims and/or their relatives for medical bills, time loss, counselor fees, therapy, and death benefits.  In 1985 the Legislature authorized victims of intrafamily violence and child victims of sexual and physical abuse to receive benefits from the Crime Victim's Compensation Program.  There has been a rapid increase in the caseload since this change was authorized.  There is also a small number of extremely high cost cases which are consuming a significant portion of the Crime Victim's appropriation.  The funding for this program comes from the Public Safety and Education Account (PSEA).  The PSEA funds the operation of several agencies and programs and is derived from fines assessed against persons convicted of crimes.

SUMMARY:

A cap on medical expenses of $125,000 per victim is established. The director of Labor and Industries is authorized to set service levels and fees no lower than those established by the Department of Social and Health Services for comparable services and fees. The Office of Financial Management is required to study public safety and education account funded programs with special emphasis on the crime victim's compensation program.  Crime victims who are eligible for medical services provided through the Department of Social and Health Services must use those services before receiving assistance through the crime victim's compensation program.  A retail sales tax of 18 percent is imposed on adult entertainment materials and services.  The proceeds of this tax are dedicated to the crime victims compensation fund established under Chapter 7.68 RCW.

EFFECT OF SENATE AMENDMENTS:  The medical cap is changed from $125,000 to $150,000.  The entitlement to compensation for crime victims is conditioned upon the funds appropriated for the crime victim's compensation program.  Adult entertainment materials and services are defined more specifically, and the tax rates for materials and services are clarified.

Appropriation:    $6,591,000.

Fiscal Note:      Available.

House Committee ‑ Testified For:    Lonnie Johns-Brown (with amendments); Mike Redman (with amendments); Joe Dear, Labor and Industries; John Ladenburg, Pierce County Prosecutor; T. K.  Bentler and Jim Goche, Washington Association of County Officials.

House Committee - Testified Against:      Ken Eikenberry, Attorney General.

House Committee - Testimony For:    The Department of Labor and Industries needs additional management authority to maintain the crime victim's program within appropriated levels.  A supplemental appropriation is necessary to continue the crime victim's compensation program through the end of the current biennium.  Crime victims, prosecuting attorneys and other interested parties should study the crime victim's program and its relationship to all other public safety and education account funded programs.

House Committee - Testimony Against:      Services to crime victims should not be limited or reduced.

VOTE ON FINAL PASSAGE:

      Yeas 79; Nays 2; Absent 1; Excused 16 - April 24

Voting Nay: Representatives Sayan and Wang

Absent:     Representative Wineberry

Excused:    Representatives Basich, Baugher, Beck, Braddock, Chandler, Gallagher, Haugen, Inslee, Locke, Miller, Moyer, Raiter, Schmidt, Sprenkle, Walk and Zellinsky